EXHIBIT 99
Premier Auto Trust 1998-4 Structural and Collateral Materials
$1,324,375,000
Premier Auto Trust 1998-4
CHRYSLER FINANCIAL CORPORATION
Seller and Servicer
COMPUTATIONAL MATERIALS
The following 11 pages only may be distributed to potential purchasers
The Computational Materials form MUST accompany every Computational
Materials package.
The information contained in the attached materials is referred to as
the "Information".
The attached Term Sheet has been prepared by Chrysler Financial
Corporation ("CFC"). Neither Morgan Stanley & Co. Incorporated ("Morgan
Stanley") nor any of its affiliates makes any representation as to the
accuracy or completeness of the Information herein. The Information contained
herein is preliminary and will be superseded by the applicable prospectus
supplement and by any other information subsequently filed with the
Securities and Exchange Commission.
The Information contained herein will be superseded by the
description of the collateral pool contained in the prospectus supplement
relating to the securities.
The Information addresses only certain aspects of the applicable
security's characteristics and thus does not provide a complete assessment.
As such, the Information may not reflect the impact of all structural
characteristics of the security. The assumptions underlying the Information,
including structure and collateral, may be modified from time to time to
reflect changed circumstances.
Although a registration statement (including the prospectus) relating
to the securities discussed in this communication has been filed with the
Securities and Exchange Commission and is effective, the final prospectus
supplement relating to the securities discussed in this communication has not
been filed with the Securities and Exchange Commission. This communication
shall not constitute an offer to sell or the solicitation of an offer to buy
nor shall there be any offer or sale of the securities discussed in this
communication in any state in which such offer, solicitation or sale would be
unlawful prior to registration or qualification under the securities laws of
any such state. Prospective purchasers are referred to the final prospectus
and prospectus supplement relating to the securities discussed in this
communication for definitive Information on any matter discussed in this
communication. Any investment decision should be based only on the data in
the prospectus and the prospectus supplement ("Offering Documents") and the
then current version of the Information. Offering Documents contain data that
is current as of their publication dates and after publication may no longer
be complete or current. A final prospectus and prospectus supplement may be
obtained by contacting the Morgan Stanley Trading Desk at 212-761-2248.
BEAR, STEARNS & CO. INC.
2
The information contained in the attached materials is referred to as
the "Information".
The attached Term Sheet has been prepared by Chrysler Financial
Corporation ("CFC"). Neither Bear, Stearns & Co. Inc. ("Bear Stearns") nor
any of its affiliates makes any representation as to the accuracy or
completeness of the Information herein. The Information contained herein is
preliminary and will be superseded by the applicable prospectus supplement
and by any other information subsequently filed with the Securities and
Exchange Commission.
The Information contained herein will be superseded by the
description of the collateral pool contained in the prospectus supplement
relating to the securities.
The Information addresses only certain aspects of the applicable
security's characteristics and thus does not provide a complete assessment.
As such, the Information may not reflect the impact of all structural
characteristics of the security. The assumptions underlying the Information,
including structure and collateral, may be modified from time to time to
reflect changed circumstances.
Although a registration statement (including the prospectus) relating
to the securities discussed in this communication has been filed with the
Securities and Exchange Commission and is effective, the final prospectus
supplement relating to the securities discussed in this communication has not
been filed with the Securities and Exchange Commission. This communication
shall not constitute an offer to sell or the solicitation of an offer to buy
nor shall there be any offer or sale of the securities discussed in this
communication in any state in which such offer, solicitation or sale would be
unlawful prior to registration or qualification under the securities laws of
any such state. Prospective purchasers are referred to the final prospectus
and prospectus supplement relating to the securities discussed in this
communication for definitive Information on any matter discussed in this
communication. Any investment decision should be based only on the data in
the prospectus and the prospectus supplement ("Offering Documents") and the
then current version of the Information. Offering Documents contain data that
is current as of their publication dates and after publication may no longer
be complete or current. A final prospectus and prospectus supplement may be
obtained by contacting the Bear Stearns Trading Desk at 212-272-4955.
General Information: The data underlying the Information has been
obtained from sources that we believe are reliable, but we do not guarantee
the accuracy of the underlying data or computations based thereon. Bear
Stearns and/or individuals thereof may have positions in these securities
while the Information is circulating or during such period may engage in
transactions with the issuer or its affiliates. We act as principal in
transactions with you, and accordingly, you must determine the
appropriateness for you of such transactions and address any legal, tax or
accounting considerations applicable to you. Bear Stearns shall not be a
fiduciary or advisor unless we have agreed in writing to receive compensation
specifically to act in such capacities. If you are subject to ERISA, the
Information is being furnished on the condition that it will not form a
primary basis for any investment decision. The Information is not a
solicitation of any transaction in securities which may be made only by
prospectus when required by law, in which event you may obtain such
prospectus from Bear Stearns by calling the telephone number listed above.
[Bear Sterns Logo]
The information contained in the attached materials is referred to as
the "Information".
The attached Term Sheet has been prepared by Chrysler Financial
Corporation ("CFC"). Neither Merrill Lynch, Pierce Fenner & Smith
Incorporated ("Merrill Lynch") nor any of its affiliates makes any
representation as to the accuracy or completeness of the Information herein.
The Information contained herein is preliminary and will be superseded by the
applicable prospectus supplement and by any other information subsequently
filed with the Securities and Exchange Commission.
The Information contained herein will be superseded by the
description of the collateral pool contained in the prospectus supplement
relating to the securities.
The Information addresses only certain aspects of the applicable
security's characteristics and thus does not provide a complete assessment.
As such, the Information may not reflect the impact of all structural
characteristics of the security. The assumptions underlying the Information,
including structure and collateral, may be modified from time to time to
reflect changed circumstances.
Although a registration statement (including the prospectus) relating
to the securities discussed in this communication has been filed with the
Securities and Exchange Commission and is effective, the final prospectus
supplement relating to the securities discussed in this communication has not
been filed with the Securities and Exchange Commission. This communication
shall not constitute an offer to sell or the solicitation of an offer to buy
nor shall there be any offer or sale of the securities discussed in this
communication in any state in which such offer, solicitation or sale would be
unlawful prior to registration or qualification under the securities laws of
any such state. Prospective purchasers are referred to the final prospectus
and prospectus supplement relating to the securities discussed in this
communication for definitive Information on any matter discussed in this
communication. Any investment decision should be based only on the data in
the prospectus and the prospectus supplement ("Offering Documents") and the
then current version of the Information. Offering Documents contain data that
is current as of their publication dates and after publication may no longer
be complete or current. A final prospectus and prospectus supplement may be
obtained by contacting the Merrill Lynch Trading Desk at 212-449-3659.
[EXCLUSIVELY FOR SALOMON SMITH BARNEY INC.]
Computational Materials
Premier Auto Trust 1998-4 Retail Auto ABS
-----------------------------------------
$1,324,375,000 Retail Auto Asset-Backed Notes
Chrysler Financial Corporation
Seller and Servicer
$550,000,000 Class A-2 [ ]% Asset-Backed Notes
$470,000,000 Class A-3 [ ]% Asset-Backed Notes
$304,375,000 Class A-4 [ ]% Asset-Backed Notes
Computational
Materials
Neither the Issuer of the Notes nor any of its affiliates make any
representation as to the accuracy or completeness of the information herein.
The information herein is preliminary, and will be superseded by the
applicable prospectus supplement and by any other information subsequently
filed with the Securities and Exchange Commission. The information addresses
only certain aspects of the applicable security's characteristics and thus
does not provide a complete assessment. As such, the information may not
reflect the impact of all structural characteristics of the security. The
assumptions underlying the information, including structure and collateral,
may be modified from time to time to reflect changed circumstances. The
attached term sheet is not intended to be a prospectus and any investment
decision with respect to the Notes should be made by you based solely upon
all of the information contained in the final prospectus. Under no
circumstances shall the information presented constitute an offer to sell or
the solicitation of an offer to buy nor shall there be any sale of the
securities in any jurisdiction in which such offer, solicitation or sale
would be unlawful prior to registration or qualification under the securities
laws of such jurisdiction. The securities may not be sold nor may an offer to
buy be accepted prior to the delivery of a final prospectus relating to the
securities. All information described herein is preliminary, limited in
nature and subject to completion or amendment. No representation is made that
the above referenced securities will actually perform as described in any
scenario presented. The Depositors have not prepared, reviewed or
participated in the preparation hereof, are not responsible for the accuracy
hereof and have not authorized the dissemination hereof. A final prospectus
and prospectus supplement may be obtained by contacting the Salomon Smith
Barney Syndicate Desk at (212) 783-3727.
The information contained in the attached materials is referred to as
the "Information".
The attached Term Sheet has been prepared by Chrysler Financial
Corporation ("CFC"). Neither Salomon Smith Barney Inc. ("Salomon") nor any of
its affiliates makes any representation as to the accuracy or completeness of
the Information herein. The Information contained herein is preliminary and
will be superseded by the applicable prospectus supplement and by any other
information subsequently filed with the Securities and Exchange Commission.
The Information contained herein will be superseded by the
description of the collateral pool contained in the prospectus supplement
relating to the securities.
The Information addresses only certain aspects of the applicable
security's characteristics and thus does not provide a complete assessment.
As such, the Information may not reflect the impact of all structural
characteristics of the security. The assumptions underlying the Information,
including structure and collateral, may be modified from time to time to
reflect changed circumstances.
Although a registration statement (including the prospectus) relating
to the securities discussed in this communication has been filed with the
Securities and Exchange Commission and is effective, the final prospectus
supplement relating to the securities discussed in this communication has not
been filed with the Securities and Exchange Commission. This communication
shall not constitute an offer to sell or the solicitation of an offer to buy
nor shall there be any offer or sale of the securities discussed in this
communication in any state in which such offer, solicitation or sale would be
unlawful prior to registration or qualification under the securities laws of
any such state. Prospective purchasers are referred to the final prospectus
and prospectus supplement relating to the securities discussed in this
communication for definitive Information on any matter discussed in this
communication. Any investment decision should be based only on the data in
the prospectus and the prospectus supplement ("Offering Documents") and the
then current version of the Information. Offering Documents contain data that
is current as of their publication dates and after publication may no longer
be complete or current. A final prospectus and prospectus supplement may be
obtained by contacting the Salomon Smith Barney Syndicate Desk at
212-783-3727.
2
Premier Auto Trust 1998-4
Chrysler Financial Corporation, Seller and Servicer
Subject to Revision
Term Sheet dated September 1, 1998
Issuer........................... Premier Auto Trust 1998-4 (the "Trust" or
the "Issuer").
Seller........................... Chrysler Financial Corporation (the
"Seller" or "CFC").
Servicer......................... CFC (in such capacity, the "Servicer").
Indenture Trustee................ The First National Bank of Chicago, as
trustee under the Indenture (the
"Indenture Trustee").
Owner Trustee.................... Chase Manhattan Bank Delaware, as trustee
under the Trust Agreement (the "Owner
Trustee").
The Notes........................ (i) Class A-1 _____% Asset Backed Notes
(the "Class A-1 Notes") in the aggregate
initial principal amount of
$360,000,000.00. The Class A-1 Notes are
not being offered hereby;
(ii) Class A-2 ____% Asset Backed Notes
(the "Class A-2 Notes") in the aggregate
initial principal amount of
$550,000,000.00;
(iii) Class A-3 _____% Asset Backed Notes
(the "Class A-3 Notes") in the aggregate
initial principal amount of
$470,000,000.00; and
(iv) Class A-4 _____% Asset Backed Notes
(the "Class A-4 Notes" and, together with
the Class A-1 Notes, Class A-2 Notes and
Class A-3 Notes, the "Notes") in the
aggregate initial principal amount of
$304,375,000.00.
The Certificates................. The Trust will also issue Asset Backed
Certificates (the "Certificates" and,
together with the Notes, the
"Securities") with an aggregate initial
Certificate Balance of $65,625,000.00.
The Certificates will represent
fractional undivided interests in the
Trust and will be issued pursuant to the
Trust Agreement. The Certificates are not
being offered hereby. The Certificates
will not bear interest. No principal will
be paid on the Certificates until the
Notes have been paid in full.
The Receivables.................. On the Closing date, the Trust will
purchase a pool of motor vehicle retail
installment sale contracts (the
"Receivables")
having an aggregate principal balance of
approximately $1,824,391,444.13 (the
"Initial Pool Balance") as of August 24,
1998 (the "Cutoff Date"). The "Pool
Balance" will represent the aggregate
principal balance of the Receivables at
the end of a Collection Period, after
giving effect to all payments received
from Obligors, Purchase Amounts to be
remitted by the Servicer or the Seller,
as the case may be, all for such
Collection Period, and all losses
realized on Receivables liquidated during
such Collection Period.
Terms of the Notes:
A. Distribution Dates......... Payments of interest and principal on the
Notes will be made on the eighth day of
each month or, if any such day is not a
Business Day, on the next succeeding
Business Day (each, a "Distribution
Date"), commencing October 8, 1998.
B. Interest Rates............. The Notes will have fixed interest rates.
C. Interest................... Interest on the outstanding principal
amount of any Class of Notes, other than
the Class A-1 Notes, will accrue at the
applicable Interest Rate from the Closing
Date (in the case of the first
Distribution Date) or from the eighth day
of the month preceding the month of a
Distribution Date to and including the
seventh day of the month of such
Distribution Date (each, an "Interest
Accrual Period"). Interest on the
outstanding principal amount of the Class
A-1 Notes will accrue at the applicable
Interest Rate from the Closing Date (in
the case of the first Distribution Date)
or from the most recent Distribution Date
on which interest has been paid to but
excluding the following Distribution Date
(each, a "Class A-1 Interest Accrual
Period"). Interest on each class of
Notes, other than the Class A-1 Notes,
will be calculated on the basis of a
360-day year consisting of twelve 30-day
months. Interest on the Class A-1 Notes
will be calculated on the basis of the
actual number of days in the Class A-1
Interest Accrual Period divided by 360.
D. Principal.................. Except during the Release Period
described below under
"Overcollateralization and Release of
Initial Over-collateralization Amount",
principal of the Notes will be payable on
each Distribution Date in an amount equal
to the Noteholders' Principal
Distributable Amount for the calendar
month (the "Collection Period") preceding
such Distribution Date to the extent of
funds available therefor. The
"Noteholders' Principal Distributable
Amount" will equal (i) the Regular
Principal Distribution Amount plus (ii)
the Accelerated Principal Distribution
Amount. The "Regular Principal
Distribution Amount" with respect to any
Distribution Date will
2
generally equal the amount of principal
paid plus the unpaid principal balance of
liquidated defaulted Receivables (i.e.,
the reduction in the aggregate principal
balance of the Receivables during the
Collection Period). The "Accelerated
Principal Distribution Amount" with
respect to a Distribution Date will equal
the portion, if any, of the Total
Distribution Amount for the related
Collection Period that remains after
payment of (a) the Servicing Fee
(together with any portion of the
Servicing Fee that remains unpaid from
prior Distribution Dates), (b) the
interest due on the Notes, (c) the
Regular Principal Distribution Amount,
and (d) the amount, if any, required to
be deposited in the Reserve Account on
such Distribution Date.
During the Release Period, the principal
of the Notes payable on each Distribution
Date will equal the Release Period
Noteholders' Principal Distributable
Amount described below under
"Overcollateralization and Release of
Initial Overcollateralization Amount".
No principal payments will be made (i) on
the Class A-2 Notes until the Class A-1
Notes have been paid in full; (ii) on the
Class A-3 Notes until the Class A-2 Notes
have been paid in full; or (iii) on the
Class A-4 Notes until the Class A-3 Notes
have been paid in full.
The outstanding principal amount of the
Class A-1 Notes, to the extent not
previously paid, will be payable on the
June 1999 Distribution Date (the "Class
A-1 Final Scheduled Distribution Date");
the outstanding principal amount of the
Class A-2 Notes, to the extent not
previously paid, will be payable on the
April 2001 Distribution Date (the "Class
A-2 Final Scheduled Distribution Date");
the outstanding principal amount of the
Class A-3 Notes, to the extent not
previously paid, will be payable on the
June 2002 Distribution Date (the "Class
A-3 Final Scheduled Distribution Date");
and the outstanding principal amount of
the Class A-4 Notes, to the extent not
previously paid, will be payable on the
April 2003 Distribution Date (the "Class
A-4 Final Scheduled Distribution Date").
E. Optional Redemption........ The outstanding Class A-4 Notes will be
subject to redemption in whole, but not
in part, on any Distribution Date by the
Servicer when the Pool Balance shall have
declined to 10% or less of the Initial
Pool Balance (as defined below).
Overcollateralization and Release of
Initial Overcollateralization
Amount......................... The Initial Pool Balance,
$1,824,391,444.13, will exceed the
$1,750,000,000.00 initial aggregate
principal amount of the
3
Securities (the "Initial Securities
Principal Balance"), by an amount equal
to $74,391,444.13 (the "Initial
Overcollateralization Amount"), which
amount is approximately 4.25% of the
Initial Securities Principal Balance.
Unless offset by losses on the
Receivables or the release of cash during
the Release Period as described below,
the distribution of the Accelerated
Principal Distribution Amount, if any, on
a Distribution Date is expected to cause
the aggregate principal amount of the
Notes to decrease faster than the Pool
Balance decreases, thereby increasing the
Overcollateralization Amount. The
"Overcollateralization Amount" in respect
of a Distribution Date is equal to (a)
the Pool Balance as of the end of the
related Collection Period (the "Related
Pool Balance") minus (b) the aggregate
outstanding amount of Securities after
giving effect to payments made on the
Securities on such Distribution Date (the
"Securities Amount").
Subject to the conditions set forth
below, on each Distribution Date during
the Release Period (as defined below),
the amount of principal distributable on
the Notes will be the Release Period
Noteholders' Principal Distributable
Amount rather than the Noteholders'
Principal Distributable Amount. The
"Release Period Noteholders' Principal
Distributable Amount" shall equal, on any
Distribution Date during the Release
Period, the excess of (a) the Securities
Amount on such Distribution Date (prior
to giving effect to any distributions on
such Distribution Date) over (b) the
product of (1) 95.00% and (2) the Related
Pool Balance. The effect of such
requirement is to maintain the
Overcollateralization Percentage at 5.00%
during the Release Period. On each
Distribution Date during the Release
Period, any portion of the Total
Distribution Amount which remains after
payment of (a) the Servicing Fee, (b) the
Noteholders' Interest Distributable
Amount, (c) the Release Period
Noteholders' Principal Distributable
Amount and (d) any amount required to
increase the amount in the Reserve
Account to the Specified Reserve Amount
will be released to Premier Receivables
L.L.C. (the "Company") (such released
amount being the "Cash Release Amount" or
"Cash Release"). The cumulative amount of
all Cash Releases during the Release
Period shall not exceed the Initial
Overcollateralization Amount.
The release of cash to the Company, as
described above is subject to the
satisfaction of all of the following
conditions:
(1) no Cash Release will be permitted
until the date (the "First Release
Distribution Date") that is the later of:
4
(i) the Distribution Date following the
Distribution Date on which the
Overcollateralization Amount is at
least equal to the
[Initial Overcollateralization
Amount]
plus
[2% x (Related Pool Balance for such
preceding Distribution Date
minus
Initial Overcollateralization
Amount)]; and
(ii) the Distribution Date following
the Distribution Date on which the
Class A-1 Notes have been repaid in
full;
(2) the amount in the Reserve Account
shall be equal to the Specified Reserve
Amount; and
(3) the cumulative amount of the Cash
Releases will not exceed the Initial
Overcollateralization Amount.
On the Distribution Date (the "Last
Release Distribution Date") on which the
cumulative amount of the Cash Releases
equals the Initial Overcollateralization
Amount, the amount of principal
distributable to the Noteholders will be
the Noteholders' Principal Distributable
Amount less the Cash Release Amount
released on such Distribution Date. On
each Distribution Date thereafter, the
full Noteholders' Monthly Principal
Distributable Amount will be
distributable as principal to the
Noteholders. The "Release Period" is the
period from the First Release
Distribution Date to the Last Release
Distribution Date. Any Cash Release
released to the Company will not be
available to make payments on the Notes.
Reserve Account.................. The "Reserve Account" will be part of the
Collection Account. On the Closing Date
cash or Eligible Investments having a
value at least equal to $4,375,000.00
(the "Specified Reserve Amount"), which
is 0.25% of the Initial Securities
Principal Balance, will be allocated to
the Reserve Account.
Funds will be applied from the Reserve
Account to cover any shortfalls in the
amounts due to the Noteholders. On each
Distribution Date, the Reserve Account
will be reinstated up to the Specified
Reserve Amount to the extent of the
portion, if any, of the Total
Distribution Amount remaining after
payment of the Servicing Fee and the
amounts due to the Noteholders.
Priority of Payments............. Collections in respect of the Receivables
for each Collection Period will generally
be applied in the following order of
priority: (i) the Servicing Fee, together
with any previously unpaid Servicing
Fees, to the Servicer, (ii) interest on
the Notes, to the holders of the Notes,
(iii) the Regular Principal
5
Distribution Amount (or, during the
Release Period, the Release Period
Noteholders' Principal Distributable
Amount), in the priority set forth
herein, to the applicable Noteholders,
(iv) amounts, if any, to the Reserve
Account until it contains the Specified
Reserve Amount, (v) except during the
Release Period, the Accelerated Principal
Distribution Amount, to the applicable
Noteholders, (vi) during the Release
Period, the Cash Release Amount, to the
Company, (vii) after the Notes have been
paid in full, to the Certificateholders
until the Certificate Balance has been
reduced to zero and (viii) the remaining
balance, if any, to the Company.
Rating of the Notes.............. The Notes will be rated in the highest
investment rating category by at least
two nationally recognized rating
agencies.
6
The Receivables Pool
As of the Cutoff Date, each Receivable (i) had a principal balance of
at least $300.00 and (ii) was not more than 30 days past due (an account is
not considered past due if the amount past due is less than 10.00% of the
scheduled monthly payment). As of the Cutoff Date, no Obligor on any
Receivable was noted in the related records of the Seller as being the
subject of a bankruptcy proceeding, and no Obligor on any Receivable financed
a Financed Vehicle under the Seller's "New-Finance Buyer Plan" program. No
selection procedures believed by the Seller to be adverse to Noteholders were
used in selecting the Receivables.
Set forth in the following tables is information concerning the
composition, distribution by annual percentage rate ("APR") and the
geographic distribution of the Receivables Pool as of the Cutoff Date.
Premier Auto Trust 1998-4
Composition of the Receivables Pool
Weighted
Weighted Aggregate Average Weighted Average
Average APR of Principal Number of Remaining Average Principal
Receivables Balance Receivables Term Original Term Balance
- --------------- --------------- ------------- ---------- -------------- --------------
9.01% $1,824,391,444.13 113,836 56.03 months 57.92 months $16,026.49
Approximately 75.78% of the aggregate principal balance of the
Receivables, constituting 66.89% of the number of the Receivables, represent
new vehicles, and approximately 24.22% of the aggregate principal balance of
the Receivables, constituting 33.11% of the number of the Receivables,
represent used vehicles. Approximately 84.68% of the aggregate principal
balance of the Receivables represent vehicles manufactured or distributed by
Chrysler and approximately 15.32% of the Initial Pool Balance represents
financing of vehicles manufactured or distributed by vehicle manufacturers
other than Chrysler. All of the Receivables are Simple Interest Receivables.
7
Premier Auto Trust 1998-4
Distribution by APR of the Receivables Pool
Percent of
Aggregate
Number of Aggregate Principal Principal
APR Range Receivables Balance Balance(1)
- --------- ----------- ------------------- -----------
0.00% to 5.00%...................... 13,144 $ 226,235,405.53 12.4%
5.01% to 6.00%...................... 12,710 271,213,248.07 14.9
6.01% to 7.00%...................... 1,359 20,037,111.37 1.1
7.01% to 8.00%...................... 13,056 211,593,167.55 11.6
8.01% to 9.00%...................... 15,708 259,331,760.12 14.2
9.01% to 10.00%..................... 15,225 237,610,107.62 13.0
10.01% to 11.00%.................... 10,279 161,403,070.38 8.8
11.01% to 12.00%.................... 8,443 126,476,184.05 6.9
12.01% to 13.00%.................... 6,661 94,371,413.72 5.2
13.01% to 14.00%.................... 4,831 64,246,936.68 3.5
14.01% to 15.00%.................... 3,765 47,120,165.91 2.6
15.01% to 16.00%.................... 2,161 27,031,202.93 1.5
16.01% to 17.00%.................... 1,897 22,550,061.17 1.2
17.01% to 18.00%.................... 2,284 30,366,652.15 1.7
18.01% to 19.00%.................... 453 4,846,345.69 0.3
19.01% to 20.00%.................... 1,763 18,992,511.86 1.0
Greater than 20.00%................. 97 966,099.33 0.1
------- ----------------- -----
Totals......................... 113,836 $1,824,391,444.13 100.0%
======= ================= =====
<FN>
- ---------
(1) Percentages may not add to 100.0% because of rounding.
8
Premier Auto Trust 1998-4
Geographic Distribution of the Receivables Pool(1)(2)
Percent of Percent of
Aggregate Aggregate
Principal Principal
State Balance State Balance
- ----- ---------- ----- ----------
Alabama...................... 1.3% Montana................... 0.1%
Alaska....................... 0.3 Nebraska.................. 0.9
Arizona...................... 1.2 Nevada.................... 0.6
Arkansas..................... 1.0 New Hampshire............. 1.5
California................... 6.4 New Jersey................ 2.6
Colorado..................... 1.3 New Mexico................ 0.6
Connecticut.................. 1.1 New York.................. 4.4
Delaware..................... 0.3 North Carolina............ 3.6
District of Columbia......... 0.0 North Dakota.............. 0.4
Florida...................... 5.6 Ohio...................... 1.9
Georgia...................... 3.7 Oklahoma.................. 1.3
Hawaii....................... 0.1 Oregon.................... 1.1
Idaho........................ 0.1 Pennsylvania.............. 6.1
Illinois..................... 5.7 Rhode Island.............. 0.3
Indiana...................... 2.4 South Carolina............ 1.5
Iowa......................... 1.1 South Dakota.............. 0.3
Kansas....................... 1.8 Tennessee................. 1.6
Kentucky..................... 1.2 Texas..................... 7.5
Louisiana.................... 1.3 Utah...................... 0.3
Maine........................ 0.5 Vermont................... 0.4
Maryland..................... 5.6 Virginia.................. 3.8
Massachusetts................ 2.5 Washington................ 1.3
Michigan..................... 4.3 West Virginia............. 0.7
Minnesota.................... 2.7 Wisconsin................. 1.7
Mississippi.................. 0.5 Wyoming................... 0.1
Missouri..................... 3.3 -----
Total.................. 100.0%
=====
<FN>
- ---------
(1) Based on physical addresses of the dealers originating the receivables.
(2) Percentages may not add to 100.0% because of rounding.
Delinquencies, Repossessions and Net Losses
Set forth below is certain information concerning the experience of
CFC and its United States subsidiaries pertaining to retail new and used
automobile and light duty truck receivables, including those previously sold
which CFC continues to service. There can be no assurance that the
delinquency, repossession and net loss experience on the Receivables will be
comparable to that set forth below.
9
Delinquency Experience(1)
(Dollars in Millions)
At June 30, At December 31,
------------------------------------------------ ---------------------------------------------------
1998 1997 1997 1996
------------------------ --------------------- ------------------------ -----------------------
Number Number Number Number
of of of of
Contracts Amount Contracts Amount Contracts Amount Contracts Amount
---------- ------- --------- ------- ----------- ------- ---------- -------
Portfolio........ 1,756,620 $23,952 1,689,018 $21,466 1,697,755 $21,879 1,679,880 $21,197
Period of
Delinquency
31-60 Days..... 40,181 $ 468 52,013 $ 657 58,421 $ 708 65,297 $ 843
61 Days or More 3,874 51 9,352 136 7,360 102 8,175 118
--------- ------- --------- ------- --------- ------- --------- -------
Total
Delinquencies.... 44,055 $ 519 61,365 $ 793 65,781 $ 810 73,472 $ 961
========= ======= ========= ======= ========= ======= ========= =======
Total
Delinquencies as
a Percent of
the Portfolio.. 2.51% 2.17% 3.63% 3.69% 3.87% 3.70% 4.37% 4.53%
At December 31,
----------------------------------------------------------------------------------------
1995 1994 1993
--------------------------- ---------------------------- ------------------------
Number
Number of Number of of
Contracts Amount Contracts Amount Contracts Amount
----------- ------------ ------------ ------------ --------- -----------
Portfolio......... 1,653,533 $20,913 1,444,736 $ 16,977 1,352,218 $14,116
Period of
Delinquency
31-60 Days...... 55,507 $ 720 25,888 $ 293 16,350 $ 153
61 Days or More. 6,792 100 2,085 27 1,383 15
--------- ------- --------- -------- --------- -------
Total
Delinquencies..... 62,299 $ 820 27,973 $ 320 17,733 $ 168
========= ======== ========= ======== ========= =======
Total
Delinquencies as
a Percent of
the Portfolio... 3.77% 3.92% 1.94% 1.88% 1.31% 1.19%
<FN>
- ---------
(1) All amounts and percentages are based on the gross amount scheduled
to be paid on each contract, including estimated unearned finance and
other charges. The information in the table includes an immaterial
amount of retail installment sale contracts on vehicles other than
automobiles and light duty trucks and includes previously sold
contracts which CFC continues to service.
10
Credit Loss/Repossession Experience(1)
(Dollars in Millions)
Six-Months
Ended June 30 Year Ended December 31
------------------------ ---------------------------------------------------------------
1998 1997 1997 1996 1995 1994 1993
---- ---- ---- ---- ---- ---- ----
Average Amount
Outstanding
During the Period .... $ 22,643 $ 21,245 $ 21,485 $ 21,062 $ 19,486 $ 15,517 $ 12,882
Average Number of
Contracts Outstanding
During the Period .... 1,716,987 1,680,186 1,688,525 1,671,405 1,572,963 1,396,497 1,341,084
Percent of Contracts
Acquired During the
Period with Recourse
to the Dealer ........ 8.58% 9.72% 10.91% 9.05% 14.8% 17.0% 16.2%
Repossessions as a
Percent of Average
Number of Contracts
Outstanding(2) ....... 2.88% 3.06% 3.40% 3.82% 3.05% 2.36% 2.15%
Net Losses as a Percent
of Liquidations
(3)(4) ............... 3.02% 2.70% 3.36% 3.17% 2.25% 1.38% 1.34%
Net Losses as a Percent
of Average Amount
Outstanding(2)(3) .... 1.49% 1.47% 1.80% 1.68% 1.16% 0.73% 0.75%
<FN>
- ---------
(1) Except as indicated, all amounts and percentages are based on the gross
amount scheduled to be paid on each contract, including unearned
finance and other charges. The information in the table includes an
immaterial amount of retail installment sales contracts on vehicles
other than automobiles and light duty trucks and includes previously
sold contracts that CFC continues to service.
(2) Percentages have been annualized for the six months ended June 30, 1998
and 1997 and are not necessarily indicative of the experience for the
year.
(3) Net losses are equal to the aggregate of the balances of all contracts
which are determined to be uncollectible in the period, less any
recoveries on contracts charged off in the period or any prior periods,
including any losses resulting from disposition expenses and any losses
resulting from the failure to recover commissions to dealers with
respect to contracts that are prepaid or charged off.
(4) Liquidations represent a reduction in the outstanding balances of the
contracts as a result of monthly cash payments and charge-offs.
During the first six months of 1998, CFC experienced higher credit
losses on automotive retail receivables. CFC management attributes the higher
credit losses primarily to the effect of the credit mix of retail receivables
originated in prior years.
The net loss figures above reflect the fact that the Seller had
recourse to Dealers on a portion of its retail installment sale contracts. By
aggregate principal balance, approximately 1.55% of the Receivables represent
contracts with recourse to Dealers.
11